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Company chosen: Marico

Product` Parachute Saffola Hair & Care Nihar Mediker Revive Manjal Kaya Skin Clinic Aromatic Fiancee Haircode Xmen Hercules Caivil Code 10 Black Chic

Type Convenience Convenience Convenience Convenience Convenience Shopping Convenience Shopping Convenience Shopping Shopping Shopping Shopping Shopping Shopping Shopping

2. Competitors of the company FMCG companies like HUL, ITC, P & G. These companies produce soaps, shampoos and other beauty products that compete with Marico s products. 3. Evolution of the company till date 1988

- The Company was incorporated on 13th October, under the name of Marico Foods Ltd. It obtained the Certificate of commencement of business on 22nd November. - The Company is engaged in the business of manufacture and marketing of branded personal care products, edible oils, fabric care products and processed foods. The Company's products are sold under the brand names Parachute, Saffola, Sweekar, Marico's Hair & Care, Revive and Sil. 1989 - The name of the Company was changed to Marico Industries Limited w.e.f. 31st October. - In December, the Company entered into an agreement with M/s. Rasoi Industries Limited for purchase of its unit located at M.I.D.C. Industrial Estate, Jalgaon.

1990 - The Company entered into a Registered Users Agreement dated 26th September, with BOIL for the use of the brands Parachute and Saffola for an initial period of 3 years commencing from 1st April. 1993 - The Company established a new plant at Kanjikode, Palghat District, Kerala to manufacture Parachute Coconut Oil. This plant with capacity of 24000 tons of coconut oil per annum began commercial operation in May. - The products Parachute Coconut Oil, Saffola and Sweekar are manufactured at the Company's factories. The products Marico's Hair & Care, Revive Instant Starch, Parachute Amla and Parachute Herbal are manufactured on job work basis as per the Company's quality specifications and under the brand names of the Company. - The Company has two SSI Units namely M/s. Amardeo Plastic Industries having its factory at Mumbai. - The SIL range of jams and food products are manufactured by Kanmoor Foods Limited (KFL) and marketed by the Company. - Saffola won the Most Outstanding `Brand of the Year' Award instituted by the Advertising Club of Mumbai. 1994 - Agreements dated 21nd February 1994 and 16th November 1995 between the Company and The Bombay Oil Industries Ltd. for using the Trademark Parachute and Saffola. 1995 - The Company has acquired the Brand `SIL' from KFL in March for an aggregate consideration of Rupees Three crores. 1996 - Memorandum of Understanding dated 2nd January, between the Company and Karvy Consultants Ltd. agreeing to act as Registrars to the

Issue. - In March, the Company made a fresh issue of 10,00,000 equity shares of Rs.10/- each, at a premium of Rs.165/- per share, simultaneously with an offer for sale by the promoters of 26,25,000 equity shares of Rs.10/- each, at a premium of Rs.165/- per share. - The Company decided to leverage on the strong equity of the Parachute brand through appropriate extensions. Accordingly, `Parachute Herbal' was launched. - The Total Quality Movement within the Company has gathered speed and now embraces virtually all locations. - The Company has made major investments in information technology, a process which began four years ago. Presently, all the establishments are covered by information technology and networked with the Corporate Office. - The Company has acquired a formidable reputation for its HR practices and has been recognised by the National HRD Network in the recent past.

1997 - Marico Industries has extended the Sweekar oil brand to introduce two new refined oils-Sweekar cotton seed oil and Sweekar mustard oil. - The company has set up a factory near Jalgaon to process the cotton seeds and another factory near Jaipur for the mustard oil. - The company has launched branded refined mustard oil and cotton seed oil refined under its brand name Sweekar Orange. - Marico Industries has been one of the few success stories in the fast-moving consumer goods segment. - The company has announced the extension of the Parachute brand

name to other products in the hair care segment, thus making it an umbrella brand. - Marico Industries has launched three new variants of coconut oil light oil, nutra sheen liquid and nutra sheen creme-under the brand name Parachute. - Marico Industries Limited, the Rs. 400 crore consumer goods company has been selected as a Top Performing Global Growth Company from India by the World Economic Forum, New Delhi. 1998 - The company was originally a join venture between a Lever group company and Nissin of Japan, and its products were distributed through HLL's channels. - Marico Industries Ltd has taken the lead in launching a refined oil in the soya segment with a new variant called Sweekar Refined Soya Oil. - The company has recently launched a new variant in Postman called Sona, which is a sunflower oil. - MIL launched an innovative fabric care product named Revive ColourFix which helps to fix the colour on cotton fabrics. - The company has recently extended the brand equity of Parachute to coconut-based hair grooming products like Parachute Lite and Parachute Nutra-Sheen. The company is also considering testing Parachute branded products in international markets like Europe and America. 1999 - Marico Industries Ltd is focussing on relaunching its SIL brands in its `healthcare' business, after a successful repositioning of its Saffola and Sweekar brand. - The company is planning to introduce a range of vegetable soups. - The company is planning to set up a wholly-owned subsidiary in

Bangladesh shortly. - Marico Industries (Marico) and The Bombay Oil Industries (BOIL) have reached an understanding in terms of which the brands, Parachute and Saffola are being assigned to Marico. - ICRA has retained the `A1+' rating for the Rs. 7.5-crore commercial paper programme of the company. - The company is planning to set up a local manufacturing unit is several other SAARC countries. 2000 - The Company launched Parachute Dandruff Solution Coconut Hair Oil in Calcutta, the first oil to combine coconut oil with antidandruff properties in a single hair oil. - The Company has launched the branded coconut oil in a tamper proof seal pack with a flip top cap. - Marico Industries Ltd. has a tied up with the International Association of Trichologists (IAT), a non-profit organisation based in Australia. 2001 - Marico Industries has launched the Revive Anti-Bacteria starch. 2002 -Marico Industries Ltd has informed BSE that the Board approved the Issue of bonus redeemable preference shares of aggregate face value of Rs 290 million. Ratio -- 1:1 on equity enhanced after bonus issue of equity shares made by the Board on April 18, 2002 and approved by shareholders on July 18, 2002. The rate of dividend is 8% p.a.Increase in authorised share capital of the Company from Rs 300 million to Rs 600 million. 2003 -Marico Industries Ltd have appointed Erehwon consultancy firm for initiatives of innovation in marketing and management. -Marico Industries have acquired a controlling equity interest in Sundari LLC.

2004 -Marico Industries' popular edible oil brand 'Saffola' launches a fresh advertising campaign. The campaign by Grey Worldwide has a new tagline, Aaj se jeene ka andaaz sudhariye (Improve your lifestyle today), urges every Indian to take up healthy lifestyle. Earlier Saffola campaign used the tag line - Saffola Swasth ParivaarKe Dil Ki Dhadkan -High Court of Judicature at Bombay approves the Scheme of Amalgamation of Anandita Arnav Trading & Investment Private Ltd, Madhav Nandini Trading & Investment Private Ltd, Rajvi Rishabh Trading & Investment Private Ltd and Rishabh Harsh Trading & Investment Private Ltd with Marico Industries Ltd on February 12, 2004 -Announces 1:1 bonus issue - Marico Industries launches 'Saffola Gold, a blend of Ricebran and Kardi oils in a 70:30 ratio, which has dual benefits of lowering cholesterol and enabling food cooked in it to absorb lesser oil -Marico industries has announced its foray into the beauty products segment with the launch of Silk-n-Shine, a post-wash haircare product 2005 -Marico - MBL acquires soap brand Aromatic -Marico introduces new Mediker Plus in southern market -Marico arm buys toilet soap brand in Bangladesh 2006 -Marico Ltd has informed that the Company has reached an agreement to acquire the brand 'Nihar' from Hindustan Lever Ltd (HLL). Nihar gas a current annualized turnover of about Rs 1200 million spread over two segments - coconut oil and perfumed hair oils. -Marico Ltd has informed that the Company has acquired the Herbal Bath Soap brand Manjal from Oriental Extractions Pvt Ltd (Oriental) for an undisclosed consideration. -Marico enters Egypt, acquires haircare brand Fiancee 2007 -Marico Ltd has appointed Mr. Anand Kripalu as an Additional

Non-Executive Director on the Board of Directors of the Company. - The Company has splits its face value from Rs.10/- to Rs.1/-. -Marico Uncommon Sense Campaign won Gold EFFIE in Corporate Advertising Category Nihar Naturals and Saffola won Bronze each under Consumer Products Category

2008 -Marico Limited has appointed Ms. Rachana Lodaya- Legal Manager, as Company Secretary and Compliance officer of the Company, with effect from August 01, 2008. -Marico Jalgaon was awarded the CII National Water Management Award -Marico was ranked 2nd in Sourcing Platform Benchmarking Program 2009 -Asia Pacific Quality Organization (APQO) - Marico won the 'Best in Class' Award (Second highest) for the Large Manufacturing category -Marico won the Greentech Environment Excellence Award 2009 in the Silver Category in FMC 2010 -Harsh Mariwala was awarded the Ernst & Young Entrepreneur of the Year Award 2009 in the Manufacturing category.

4. SWOT analysis
Strengths Understanding of Indian consumer behavior in the hair oil segment. Large distribution network all overIndia. Rural market reach Weaknesses Not strong within the shampoo segment, having hardly any share. Not having any antidandruff hair oil whose market potential is worth 25% of the total oil market in India. Threats Competition from the diverse players present in the market can cause loss of market share.

Opportunities Need to concentrate within the various others market potential zones like hair shampoo, hair colorants etc.

5. Sales trend for last five years

Marico
Yearly Results

Previous Years

------------------- in Rs. Cr. -------------------

Mar '11 Sales Turnover Other Income Total Income Total Expenses Operating Profit Profit On Sale Of Assets Profit On Sale Of Investments Gain/Loss On Foreign Exchange VRS Adjustment Other Extraordinary Income/Expenses Total Extraordinary Income/Expenses Tax On Extraordinary Items Net Extra Ordinary Income/Expenses Gross Profit Interest PBDT Depreciation Depreciation On Revaluation Of Assets PBT Tax Net Profit Prior Years Income/Expenses Depreciation for Previous Years Written Back/ Provided Dividend Dividend Tax Dividend (%) Earnings Per Share Book Value Equity Reserves Face Value 2,353.71 18.33 2,372.04 2,005.40 348.31 -----65.47 --366.64 29.92 402.18 27.63 -374.55 59.22 315.33 -----5.13 -61.44 811.69 1.00

Mar '10 2,030.85 15.50 2,046.35 1,710.27 320.58 --------336.08 18.30 317.78 25.21 -292.57 57.55 235.02 -----3.86 -60.93 510.75 1.00

Mar '09 1,921.85 10.14 1,931.99 1,667.15 254.70 ------47.87 --264.84 28.92 188.06 17.03 -171.03 28.91 142.12 -----2.33 -60.90 306.82 1.00

Mar '08 1,568.78 10.07 1,578.85 1,372.60 196.18 -----1.24 --206.25 15.29 192.20 18.93 -173.27 29.85 143.42 -----2.36 -60.90 219.34 1.00

Mar '07 1,371.66 4.23 1,375.89 1,178.31 193.35 --------197.58 11.60 185.98 35.19 -150.79 28.43 122.36 -6.19 ----2.01 -60.90 122.60 1.00

8. Organizational structure
A Flat Structure : Marico has a flat organizational structure, with just five levels between the Managing Director and the shop floor operator. At Marico, everyone is a member and not an employee. As a member, each individual is empowered.. Profit Centers: This division manufactures & markets Marico's 10 leading consumer product brands like Parachute, Saffola, Kaya Skin Clinics under the banner of Kaya Skin Care Ltd. All the above profit centers have their dedicated marketing teams, distribution channels, sales force.

9. Distributon channels used by company

Distribution network of more than 2.5 million outlets in India and overseas, one in every eight Indian and six Egyptian is Marico consumer, while over

70 million consumer packs from Marico reach approximately 130 million consumers in about 23 million house hold every month.
Marico's distribution width and penetration is acknowledged as one of the best in the industry and is a leverageable strength. Every month, 56 million consumer packs are sold to about 1.8 million households through 1.6 million retail outlets spread across the country. Marico's distribution network covers almost every Indian town with a population of over 20,000. The chart below depicts Marico's distribution network in the urban & rural markets: Thus, 1 out of every 10 Indians is a Marico consumer. Distribution Alliance: Our distribution strength has been recognised by Indo Nissin Foods Ltd. through their association with us for the distribution of Top Ramen products on a national basis. Rural Sales & Distribution: Marico's parallel rural sales and distribution network ranks among the top three in the industry and contributes 24% to the company's topline. Their infrastructure comprises 882 direct distributors, 153 super distributors, catering to 2393 small stockists and 4523 van markets. A dedicated team of Territory Sales Executives and Pilot Sales Representatives distribute Marico's as well as alliance brands through this vibrant network. Sales Capacity: They have made significant progress in the areas that enhance sales capacity. Qua of our lity distributors Quality and number of the distributor field force Upgradation in the role of the company's front-line sales force. Technology (IT) in Sales: Marico has been making investments in IT to ensure: Supply Chain efficiencies Availability of the SKU at the right distributor point, at the right time in right quantities Timely availability and reliability of Sales MIS, which help in taking prudent decisions on a real time basis. In order to reap maximum benefits from its sales and distribution network, Marico embarked on an internet-enabled application - MI-Net - to establish a network between Marico and its distributors through a web interface. This project is aimed at providing real time information on the status of various business o perations between Marico and its distributors. This initiative is expected to provide business benefits in the form of increased penetration by the sales force, reduced communication costs, reduced working capital requirements, etc. The project went live on April 1, 2002 with connectivity to 330 urban

distributors, who together account for about 3/4th of Marico's domestic turnover. The business benefits are expected to accrue over a period of time.

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